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Thread: iPad "Cannibalizing" Laptop, Netbook Markets?

  1. #1
    MMi Staff Writer Paul Daniel Ash's Avatar
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    Default iPad "Cannibalizing" Laptop, Netbook Markets?

    A random quote near the end of a Wall Street Journal story about electronics sales appears to be yet another indication that people are buying iPads instead of laptops. Best Buy CEO Brian Dunn told the Journal reporter that the company estimated the iPad had "cannibalized" its sales of laptops, with as many as 50% of potential laptop buyers getting an iPad instead. In a separate story, a market analyst has found that netbook sales continue to drop, with fewer sold in August 2010 than the same month in 2009.

    Best Buy started selling the iPad as soon it was released but sold out quickly, in part because the retailer only stocked the device in about half of its stores. On Wednesday, the company announced that the iPad would be available in all of its 1,093 US stores as of September 26th. The Wall Street Journal article was profiling the retailer's move away from big-screen TVs, stereos and desktop computers to game systems and devices like the iPhone and iPad. Dunn noted, almost in an offhand way, that the company's "internal estimates showed that the iPad had cannibalized sales from laptop PCs by as much as 50%."

    Warnings of "cannibalization" - using exactly that word - have been around since right after the iPad was released. In early July, a report by market analysts Barclays asserted that the iPad would hurt sales of personal computers, particularly Wintel laptops. And in June, the market research firm DisplaySearch found the first evidence that the iPad was in fact taking sales away from netbooks, suggesting that we were seeing "the beginning of the end" of what they confusingly referred to as "the mini-note PC."

    Morgan Stanley's Katy Huberty released a report to her customers showing netbook sales declining in every month since the iPad was announced. In August, growth actually went negative, losing 4% year-over-year, the fist time that netbook sales had declined since the company began tracking them. Huberty blames what she calls "tablet cannibalization" for the decline. "We expect tablets to continue to pressure PCs," she wrote, "as more vendors launch products (e.g., Dell Streak and Samsung Tab) and Apple expands its iPad distribution."

    Source: PC Magazine
    Last edited by Paul Daniel Ash; 2010-09-17 at 10:13 PM.

  2. #2
    Even though i don't like them people are buying iPads instead of laptops. Especially non-college students. i know a lot of adults 35-50 who see ipad as a better option for themselves.

    wow, my first "First" post

  3. #3
    It is a recession... Laptops are not as affected by iPads as this article suggests. With that said, Apple better keep a closer eye, on quality in the near future... anymore antennagates, could make a dent in sales.

  4. #4
    iPhoneaholic Jmataska's Avatar
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    Wow. I'd really like to get an iPad but I dont think I would use it too often, except for the occasional browse or game or something. But if anyone wants to send one my way and prove me wrong, go right ahead lol. Id be glad to!!

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  5. #5
    Livin the iPhone Life javiert30's Avatar
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    Quote Originally Posted by Jmataska View Post
    Wow. I'd really like to get an iPad but I dont think I would use it too often, except for the occasional browse or game or something. But if anyone wants to send one my way and prove me wrong, go right ahead lol. Id be glad to!!
    I'll send you one, just seat well and don't call me, I will call you...

  6. #6
    Quote Originally Posted by Superhumanity View Post
    It is a recession... Laptops are not as affected by iPads as this article suggests. With that said, Apple better keep a closer eye, on quality in the near future... anymore antennagates, could make a dent in sales.
    recession? With 3 million people dropping 600 on the average... And that's just with the itampon sales.
    Some recession....

  7. #7
    Yeah! That means cheaper netbooks! Keep buying Big iPod touches people so I can get a netbook for $50!!

  8. #8
    Livin the iPhone Life
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    Anybody see this as a publicity stunt to stimulate people to buy iPad at Best Buy since they will soon carry them?
    I would not buy an iPad, rather have a more useful computer able to do run real programs than iPad.

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  10. #9
    i want an iPad but i will be waiting till the next generation of them before i drop that kind of money want more features then apple current allows on the iPad

  11. #10
    Livin the iPhone Life vinaygoel2000's Avatar
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    I'll stick with my iPhone 4 and a Dell laptop. And yes I have played with em a lot at apple stores. Not my cup of tea. Good luck to best buy.

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  13. #12
    iPhone? More like MyPhone
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    I have both a notebook and iPad, but I don't use my notebook anymore. It's too slow, the battery life is too short, the user interface is not as enjoyable, its not optimal for 'everywhere' use,and it can't run all the wonderful iDevice applications. If there's anything my iPad can't do, I just go direct to my desktop, but there aren't many things like that. Most of my friends who looked for new computers have either bought an iPad or said they will buy an iPad when their current computers retire.
    Last edited by eaglesteve; 2010-09-18 at 04:22 AM.

  14. #13
    Retired Moderator StealthBravo's Avatar
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    My iPad has become so much more enjoyable to use since 4.2. I totally see the 30-55 demo snatching iPads up over netbooks.

  15. #14
    Default Seriously...I so don't get the hype!
    People are either ditching their notebooks for iPads or they are first time computer purchases purchasing an iPad instead...WHY? iPad is strictly stuck to the App store, you can't install regular programs on the thing, there is no optical drive, no flash, no physical keyboard, no USB ports, no firewire, no hdmi, no memory card reader...this list goes on and in God's name could anyone think this replaces a computer? Hey can i have your money too? Jesus!

    Seriously, how would you even type a letter on an iPad with a virtual keyboard? You don't have the feeling that you have with a real keyboard, I just don't get this at all.

    Also Apple claims "an iPad can do that", hey dude my computer has "done that" for over a decade and more...why do I want an iPad again Stevie?

    There are truly suckers born every minute, they will just buy anything from Apple because it's Apple. I can understand buying the thing for web browsing (minus the 50 billions sites that use flash) or for reading books or something like that (for people who are not tech savy) but come on people...this hardly replaces a REAL computer!

    But be suckas...
    Last edited by Dayvidpriddy; 2010-09-18 at 08:40 AM.
    "Don't hold it like that!"

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  17. #15
    lol. this isn't "cannibalization"! Netbooks and iPads are different products! One's a small crappy laptop, the other is a 10in media device (basically). Cannibalizing would be like iPad's cutting into iPhone sales (as I believe the were when they first came out). What's going on here is called competition. Apple has product that more people want, thus they get more sales.

  18. #16
    Why would more people want a device that can do less then a cheap netbook not to mention a loaded notebook?
    "Don't hold it like that!"

  19. #17
    have you even used a netbook? they suck!

  20. #18
    iPhone? More like MyPhone James360Petty's Avatar
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    Seriously the iPad is a quality piece of kit and ideal if you want a very very basic netbook! But it ain't no laptop!!! I could never personally replace my laptop with an iPad!!! Where would I be able to use my regular applications and games?? I dont think Photoshops available for the iPad!!!

  21. #19
    Netbooks are awful! And the iPad isn't an impressive piece of hardware itself anyway. The one of the two that sucks less will sell more.

  22. #20
    I'll still take my laptop over an iPad any day. If it can ever do everything my laptop can do I'll consider buying one. But for now I'll stick with a real computer.

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